Answer:
b. $1,500
Explanation:
The computation of the total amount of manufacturing overhead is shown below:
= Assembly department + Fabrication department
where,
Assembly department equals to
= $30 × 40 machine hours
= $1,200
Fabrication department would be
= $12 × 25 direct labor hour
= $300
So, the total manufacturing overhead would be
= $1,200 + $300
= $1,500
Answer:
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Explanation:
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Answer:
PV= $18,763.56
Explanation:
Giving the following information:
Annual payment (A)= $2,374
Number of payments= 13
Discount rate (i)= 8%
<u>To calculate the present value, we need to use the following formula:</u>
<u></u>
PV= A*{(1/i) - 1/[i*(1 + i)^n]}
PV= 2,374*{(1/0.08) - 1 / [(0.08*(1.08^13)}}
PV= $18,763.56
To find the answer you will want to follow the rule of 70. The rule of 70 allows you to find the number of years it takes a variable to double.
In this situation, you would divide 70 by 3.5% (variable) giving you 20 years.
It would take approx. 20 years for the price level to double.
